Businesses waiting on visa holders

‘‘My heart breaks here because it’s destroying the Queenstown brand, it’s almost destroying New Zealand’s brand as well.’’

Jan Rae Co-owner of Wai Hospitality Group

‘‘We’ve all been holding our breath and waiting and hoping, and the stars are lining up now that these people are actually coming.’’

Benje Patterson Queenstown-based independent economist

Twenty thousand working holiday visa holders have arrived in New Zealand since the border opened, but businesses are asking ‘‘where are they?’’

Immigration Minister Michael Wood said yesterday that close to 6000 people with working holiday visas had arrived last month alone.

A further 18,000 people have had their visas approved and could travel to New Zealand in the next few months, bringing the total of approved applications to nearly 40,000.

Jan Rae, co-owner of Wai Hospitality Group which operates three restaurants in Queenstown, said people on working holiday visas were not arriving in droves.

Her restaurants were having to turn away hundreds of customers a night because they were so shortstaffed, and could only open five days a week instead of seven.

‘‘My heart breaks here because it’s destroying the Queenstown brand, it’s almost destroying New Zealand’s brand as well.’’

The situation was going to get worse with the holiday season yet to hit full swing.

‘‘We’re just stretched, stretched to the max. Every owner in the business is working every hour under the sun.’’

The closures, and shorter hours for one restaurant on some of the days it did open, were taking a big chunk out of their revenue. But it was the only way to keep operating without exhausting the staff they did have.

‘‘We had hoped to be open seven days a week by now, but we’ve actually blocked it off right through to the end of February,’’ she said.

‘‘I don’t like to see places closed in Queenstown. But that’s the reality of what we’re working with at the moment.’’

They currently had 20 positions to fill, from chef to kitchen hand. The business went into Covid lockdown with 97 staff and was now hovering about 55, she said.

‘‘There’s not even any random applicants coming in, it just seems to have dried up totally.’’

Rae said the visa holders who had arrived had two years to save during the pandemic so probably did not need to work yet.

‘‘They may be working their way down the country, doing some of the lovely walks and the beaches and things like that, and making their way down to Queenstown.

‘‘And possibly in February or March, they might have run out of money and want a job, but at the moment, we’re not seeing anyone really desperate for work.’’

Queenstown-based independent economist Benje Patterson said there were still a lot of vacancies to fill. ‘‘And when people come to New Zealand, they’re here to travel. It’s in the name, it’s a working holiday.’’

It meant businesses would be able to serve customers, but it took time to train staff and the quick turnover of working holidaymakers was disruptive. Queenstown also still had an accommodation shortage as bad as it had ever been.

‘‘So some of these people are just going to be wanting to stop by for a couple of weeks, get some money, and then keep travelling.

‘‘And often at the start of the trip, they’re not as strapped for cash, so they’re not going to necessarily be working.’’

The good news was that they were already arriving, he said.

A lot of the visa holders wanted to check out the cities such as Auckland and Wellington first, but would then head to Otago.

‘‘We’ve all been holding our breath and waiting and hoping, and the stars are lining up now that these people are actually coming,’’ he said.

‘‘I would say it’s a helpful reprieve, but it’s not the silver bullet that solves everything. It’s something that will allow us to continue limping through.’’

Wood said the visa holders would typically work in industries such as tourism and hospitality, which needed more workers during the busy summer period.

The Government had extended the working holiday visas by six months for people who were already in New Zealand, and doubled the Working Holiday Scheme caps with a one-off increase.

‘‘Doubling the capped schemes for this year means up to 12,000 additional working holiday-makers may come to New Zealand over the next 12 months and interest in the extra places has been high, with many schemes filling up only hours after opening,’’ he said.